We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site.

Free Trading Guides
EUR/USD
Bearish
Oil - US Crude
Mixed
Wall Street
Bullish
Gold
Bearish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
GBP/USD
Mixed
USD/JPY
Bearish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
More View more
Real Time News
  • Are recent gains in the Indian Rupee and Nifty 50 warranted? Risks are brewing in the background, leaving USD/INR in a consolidative setting as the Nifty pressures resistance. Get your $USDINR market update from @ddubrovskyFX here:https://t.co/svDaSdprvN https://t.co/kgddX1ZHe4
  • I approve of this dry humor. https://t.co/b42GmIZDlL
  • The US Dollar may be at risk to losses against some of its #ASEAN counterparts. USD/SGD, USD/PHP, USD/MYR and USD/IDR have recently broken to the downside. Will losses continue? Find out from @ddubrovskyFX here: https://t.co/0RTlj6maTT https://t.co/59cdbPc4l7
  • The #Nikkei 225 trades at 4-month highs after a 50% surge from the March low, while the RSI registers its first overbought readings since November 2019. Get your market update from @DanielGMoss here: https://t.co/pOEt698Ooi https://t.co/EHD2EHmQLW
  • The British Pound technical outlook still seems to favor the downside. GBP/CAD may pressure key rising support from August as GBP/AUD could prolong its downtrend. GBP/CHF may fall. Get your $GBP market update from @ddubrovskyFX here: https://t.co/hBOpDKXmfW https://t.co/8gGfGuw87o
  • The $USD breakdown has taken the index into confluence support at the objective yearly open. Get your USD technical analysis from @MBForex here: https://t.co/A16XEv6n4d https://t.co/VFxFMFWJ5L
  • Texas virus cases increase 2.4%, above 7-day average of 2.3% - BBG
  • Forex Update: As of 20:00, these are your best and worst performers based on the London trading schedule: 🇳🇿NZD: 0.68% 🇨🇦CAD: 0.58% 🇬🇧GBP: 0.56% 🇪🇺EUR: -0.40% 🇯🇵JPY: -0.41% 🇨🇭CHF: -0.71% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/KqzhTKmnaK
  • The divergence between weekly gains in the #Fed balance sheet and with the #SP500 continues to grow https://t.co/A7HQRtukwj
  • Commodities Update: As of 20:00, these are your best and worst performers based on the London trading schedule: Oil - US Crude: -1.11% Silver: -1.74% Gold: -1.78% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/oiiAzDSusO
US Dollar May Fall if Fed Speakers Hint Market Woes to Slow Hikes

US Dollar May Fall if Fed Speakers Hint Market Woes to Slow Hikes

2018-02-07 05:00:00
Ilya Spivak, Head Strategist, APAC
Share:

Talking Points:

  • Yen, commodity bloc FX correct after yesterday’s risk appetite recovery
  • S&P 500 futures hint risk-off trade might resume but caution warranted
  • Sentiment may firm if Fed officials hint market woes to delay rate hikes

The sentiment-linked Australian, Canadian and New Zealand Dollars turned lower in Asia Pacific trade while the Japanese Yen advanced. The move appeared corrective, marking retracements of earlier price action seen against a backdrop of recovering risk appetite on Wall Street. The Kiwi led the way lower having scored outsized gains courtesy of better-than-expected labor market data published late yesterday.

From here, S&P 500 futures trading sharply lower, hinting that risk-off market dynamics may return when Wall Street comes back online. It seems wise not to extrapolate overnight moves too much however, no matter how sizable the swings appear. A drop of over 0.6 percent might be telling on a normal day, but following a gain of 1.74 percent yesterday it may be little more than a correction.

A quiet offering of European and US economic data may put comments from Fed officials in the spotlight. Presidents of the US central bank’s Dallas, New York, Chicago and San Francisco branches are due to speak. If theyseem to suggest that financial market turmoil might slow the interest rate hike cycle, the US Dollar may fall alongside anti-risk FX (Yen, Swiss Franc) while commodity bloc currencies rise.

See our guide to learn how to use economic news in your trading strategy!

Asia Pacific Trading Session

US Dollar May Fall if Fed Speakers Hint Market Woes to Slow Hikes

European Trading Session

US Dollar May Fall if Fed Speakers Hint Market Woes to Slow Hikes

** All times listed in GMT. See the full DailyFX economic calendar here.

--- Written by Ilya Spivak, Currency Strategist for DailyFX.com

To receive Ilya's analysis directly via email, please SIGN UP HERE

Contact and follow Ilya on Twitter: @IlyaSpivak

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES

News & Analysis at your fingertips.